NIKE, Inc. $NKE Stock Holdings Lessened by Sumitomo Mitsui Trust Group Inc.

Key Points

• Sumitomo Mitsui Trust Group reduced its NIKE stake by 2.7%, selling 73,930 shares and retaining 2.71 million shares valued at approximately $95.9 million. Institutional investors collectively own 64.25% of NIKE.
• Analyst sentiment has weakened, with several firms cutting price targets and ratings; MarketBeat reports a consensus rating of “Reduce” and an average price target of $40.93.
• NIKE beat quarterly earnings estimates but reported a 4.3% year-over-year revenue decline, while management expects fiscal 2027 revenue to fall by a high-single-digit percentage. The stock opened at $39.11, and the company maintains a $0.41 quarterly dividend, yielding about 4.2%.

Sumitomo Mitsui Trust Group Inc. lessened its stake in shares of NIKE, Inc. (NYSE:NKE - Free Report) by 2.7% in the third quarter, according to the company in its most recent filing with the SEC. The fund owned 2,707,830 shares of the footwear maker's stock after selling 73,930 shares during the quarter. Sumitomo Mitsui Trust Group Inc. owned about 0.18% of NIKE worth $95,857,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also modified their holdings of the company. Scarborough Advisors LLC bought a new position in NIKE in the 1st quarter valued at about $25,000. Reyes Financial Architecture Inc. bought a new stake in shares of NIKE during the third quarter worth approximately $26,000. Meeder Asset Management Inc. boosted its holdings in shares of NIKE by 108.4% during the first quarter. Meeder Asset Management Inc. now owns 548 shares of the footwear maker's stock worth $29,000 after acquiring an additional 285 shares during the period. Atlas Wealth LLC bought a new stake in shares of NIKE during the first quarter worth approximately $31,000. Finally, University of Texas Texas AM Investment Management Co. acquired a new position in shares of NIKE in the second quarter valued at approximately $33,000. Institutional investors own 64.25% of the company's stock.

Key Headlines Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Nike rose while the broader market declined, suggesting some relative strength and possible investor interest in the shares after their prolonged selloff. Nike Ascends While Market Falls
• Positive Sentiment: A valuation comparison with Carter’s keeps Nike on value investors’ radar. Nike’s depressed share price and brand strength could appeal to contrarian investors, although the comparison does not eliminate concerns about near-term earnings growth. CRI or NKE: Which Is the Better Value Stock Right Now?
• Neutral Sentiment: Nike joined roughly 50 companies opposing OKX-ICE’s proposed tokenized trading of shares. The action protects the company’s control over how its stock is represented, but it has little direct effect on Nike’s operations or fundamentals. Nike Objects to Tokenized Trading of Its Shares
• Negative Sentiment: Analysts and market commentary continue to flag weakened brand dominance, supply-chain missteps and execution problems. These issues could pressure pricing power, market share and margins. How Supply Chain Democratization and Missteps Weakened Nike’s Dominance
• Negative Sentiment: Nike’s shares remain sharply below their level of five years ago, while management expects fiscal 2027 revenue to decline by a high-single-digit percentage. The outlook reinforces concerns that the turnaround will take time. 1 Stat That Makes Nike Stock Hard to Ignore

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the company. Robert W. Baird lowered their target price on NIKE from $44.00 to $36.00 and set a "neutral" rating on the stock in a research note on Friday, October 2nd. Zacks Research cut NIKE from a "hold" rating to a "strong sell" rating in a report on Thursday, October 1st. JPMorgan Chase & Co. reduced their price target on NIKE from $40.00 to $33.00 and set an "underweight" rating for the company in a research note on Friday, October 2nd. Truist Financial set a $29.00 price objective on NIKE and gave the company a "hold" rating in a report on Friday, October 2nd. Finally, Sanford C. Bernstein reiterated an "outperform" rating and set a $45.00 price objective on shares of NIKE in a research report on Friday, October 2nd. One analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, twenty-one have given a Hold rating and eleven have assigned a Sell rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Reduce" and a consensus price target of $40.93.

Insider Activity

In other news, insider Amy Montagne sold 4,867 shares of the company's stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $42.05, for a total transaction of $204,657.35. Following the completion of the sale, the insider owned 57,436 shares of the company's stock, valued at approximately $2,415,183.80. This represents a 7.81% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, COO Venkatesh Alagirisamy sold 3,671 shares of the stock in a transaction that occurred on Wednesday, September 9th. The stock was sold at an average price of $37.59, for a total transaction of $137,992.89. Following the sale, the chief operating officer owned 104,862 shares in the company, valued at $3,941,762.58. This represents a 3.38% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 14,974 shares of company stock worth $600,126. Insiders own 1.10% of the company's stock.

NIKE Stock Up 1.1%

NKE stock opened at $39.11 on Tuesday. The company has a market cap of $58.09 billion, a PE ratio of 23.81, a price-to-earnings-growth ratio of 4.34 and a beta of 1.09. The business has a 50-day simple moving average of $36.91 and a 200 day simple moving average of $46.14. NIKE, Inc. has a 52 week low of $31.97 and a 52 week high of $69.14. The company has a quick ratio of 1.39, a current ratio of 2.07 and a debt-to-equity ratio of 0.39.

NIKE (NYSE:NKE - Get Free Report) last posted its quarterly earnings data on Thursday, October 1st. The footwear maker reported $0.48 earnings per share for the quarter, topping the consensus estimate of $0.43 by $0.05. The business had revenue of $11.21 billion during the quarter, compared to analysts' expectations of $11.32 billion. NIKE had a net margin of 6.74% and a return on equity of 15.94%. NIKE's revenue was down 4.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.49 earnings per share. NIKE has set its FY 2027 guidance at 1.150-1.350 EPS. Sell-side analysts anticipate that NIKE, Inc. will post 1.22 EPS for the current fiscal year.

NIKE Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Tuesday, September 1st were issued a dividend of $0.41 per share. This represents a $1.64 dividend on an annualized basis and a dividend yield of 4.2%. The ex-dividend date of this dividend was Tuesday, September 1st. NIKE's dividend payout ratio is 78.85%.

NIKE Company Profile

NIKE, Inc is a global athletic footwear, apparel, equipment and accessories company headquartered near Beaverton, Oregon. The company designs, develops, markets and sells products under the Nike, Jordan and Converse brands, serving athletes and consumers across a broad range of sports and lifestyle categories.

NIKE's product portfolio includes athletic and casual footwear, performance and lifestyle apparel, sports equipment, accessories and digital fitness-related offerings. The company distributes its products through company-owned retail stores, digital platforms and wholesale partners, while also operating direct-to-consumer and membership programs.

The company traces its origins to 1964, when Phil Knight and Bill Bowerman founded Blue Ribbon Sports.

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